Titan Machinery Inc. (NASDAQ:TITN) announced today that it has completed the acquisition of Falcon Power Inc., which consists of two Case construction equipment dealerships located in Phoenix and Flagstaff, Arizona.
Falcon Power’s two dealerships are strategically located to provide new and used construction equipment, parts sales, and services to a seven county area in Arizona. The dealerships are well positioned to benefit from residential and infrastructure development activity in the Phoenix and Flagstaff areas. In its most recently reported fiscal year, Falcon Power Inc. reported revenues of approximately $5.5 million.
David Meyer, Titan Machinery’s Chairman and CEO, said, “We are excited to expand the Titan Machinery footprint into Arizona, as we continue to execute on our core growth strategy of selective and strategic acquisitions in the United States. The areas served by our two new locations have large market potential for new and used construction equipment and parts and service sales, as well as for associated rental demand. We look forward to implementing our Titan Operating Model into these dealerships and are confident that they will contribute to our long-term profitable growth.”
The Company also closed on the previously announced acquisition of Toner’s Inc., which consists of three CaseIH agricultural equipment dealerships located in Grand Island, Broken Bow, and Ord, Nebraska. Toner’s three dealerships are strategically located in a diverse agriculture market with the primary crops being corn and soybeans, as well as livestock diversification. Toner’s three locations offer synergies with Titan Machinery’s existing stores in Kearney, Lexington, North Platte and Hastings, Nebraska, and also benefit from agricultural irrigation with water sourced from the Ogallala Aquifer. In its most recently reported fiscal year, Toner’s Inc. reported revenues of approximately $44.5 million.About Titan Machinery Inc. Titan Machinery Inc., founded in 1980 and headquartered in West Fargo, North Dakota, is a multi-unit business with mature locations and newly-acquired locations. The Company owns and operates a network of full service agricultural and construction equipment stores in the United States and Europe. The Titan Machinery network consists of 104 North American dealerships in North Dakota, South Dakota, Iowa, Minnesota, Montana, Nebraska, Wyoming, Wisconsin, Colorado, and Arizona, including two outlet stores, and 12 European dealerships in Romania and Bulgaria. The Titan Machinery dealerships represent one or more of the CNH Brands (NYSE: CNH), a majority-owned subsidiary of Fiat Industrial (Milan: FI.MI), including CaseIH, New Holland Agriculture, Case Construction, New Holland Construction, Kobelco and CNH Capital. Additional information about Titan Machinery Inc. can be found at www.titanmachinery.com. Forward-Looking Statements Certain statements found in this press release may constitute forward-looking statements as defined by Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are based on current expectations and include any statement that does not directly relate to a current or historical fact. Such statements are generally identifiable by the terminology used, such as “anticipate,” “believe,” “intend,” “expect,” “plan,” or other similar words. Our forward-looking statements in this release generally relate to the benefits related to the Falcon Power Inc. and Toner’s Inc. acquisitions. Although it is not possible to foresee all of the factors that may cause actual results to differ from our forward-looking statements, such factors include, among others, integrating Falcon Power Inc.’s and Toner’s Inc.’s operations with Titan Machinery’s existing network and those risks described from time to time in our reports to the Securities and Exchange Commission. Investors should not consider any list of such factors to be an exhaustive statement of all of the risks, uncertainties or potentially inaccurate assumptions that could cause our current expectations or beliefs to change. Stockholders and other readers should not place undue reliance on “forward-looking statements,” as such statements speak only as of the date of this release. We undertake no obligation to update publicly or revise any forward-looking statements.